Frequency Distribution

Frequency Distribution is a way of showing how often different values occur in a set of data. In business intelligence and data analytics, it’s like a tally chart that helps you see patterns by counting the number of times each value appears. For example, a retailer might use a frequency distribution to know how many T-shirts of each size they sold last month. This would show them how many small, medium, large, and extra-large shirts were bought, giving a clear picture of customer preferences.

To visualize frequency distribution, you can use graphs like histograms or bar charts, where each bar represents a category (like a shirt size) and its height shows how many times that category occurs in the data set. These visuals make it easy to spot what’s common and what’s not. If most of the bars are high for small and medium sizes and lower for large sizes, then it’s clear that customers prefer smaller sizes.

Understanding frequency distributions is important because it helps businesses make decisions based on actual data trends. If a size isn’t selling, maybe it’s time to stock less of it. In the end, frequency distribution is a tool for summarizing data in a way that’s quick to interpret, allowing for smarter, more data-driven choices in various business operations, from inventory management to marketing strategies.